Former President Donald Trump is on the cusp of scoring a major financial bonanza – at least on paper.

As long as Trump Media & Technology Group’s share price doesn’t spectacularly implode before Tuesday’s closing bell, Trump is on track to receive another 36 million shares as the owner of Truth Social.

This milestone is on track to be hit after the market closes on Tuesday.

Even though Trump Media is losing money and Truth Social is very tiny, those new shares Trump is in line to receive would be valued at about $1.3 billion at current prices.

Trump’s net worth has been on a roller coaster ride ever since his social media company finalized its deal to go public late last month. The former president is the dominant shareholder in a stock that has been called a “meme stock on steroids.”

  • DandomRude@lemmy.worldEnglish
    1011·
    7 months ago

    I think this example illustrates very well how detached from reality the stock market is: Truth Social is not an important social media platform and will probably never make a profit. Nevertheless, one can make an absurd amount of money with such a bogus company - but unfortunately only if one has the right friends and belongs to their circles.

    In this sense, one almost has to be grateful to Trump because he makes the functional logic of this rotten system so obvious.

    • AggressivelyPassive@feddit.de
      68·
      7 months ago

      It’s market manipulation for money laundering purposes, nothing more.

      It’s the high street version of putting an empty box for sale on eBay for 10000€.

      • Dkarma@lemmy.world
        14·
        7 months ago

        This is it so much. It’s not even remotely about how the stock market is detached from reality… IT Always WAS!

    • Voroxpete@sh.itjust.works
      24·
      7 months ago

      To put in perspective how detached from reality Trump Media’s stock price is, the Truth Social platform’s total revenue is about the same as a single McDonald’s location.

      Despite this, the company has a market cap of almost 5 billion. That is completely insane.

    • massacre@lemmy.worldEnglish
      211·
      7 months ago

      Sorry to say, but this one goes well beyond the current fuckery of the existing Stock Market.

      This is the biggest money laundering scheme ever run in public view. The only thing propping up any price for Truth SOcial are those with a vested interest in paying off The Donald and putting the GOP in power; Saudia Arabia and Russia - with just a splash of China. Follow the money.